Discuss the benefits and Problems of rapid economic growth in a named country.
China has achieved rapid economic growth in the last 30 years, resulting partially from
the impacts of globalisation which have made China a key player in the manufacturing
industry, particularly through TNC outsourcing. However, these rapid developments
have both had positive effects and negative effects of the country and its people.
Urbanisation in China has led to the largest rural-to-urban migration ever, with 8.5
million moving into urbanised areas every single year. The has led to the growth in
numbers of highly populated cities of over 1 million inhabitants— millionaire cities— of
which China now has 90.
One of the areas significantly affected by these changes is the environment. In
Chongqing, located on the Yangtze River and the world’s fastest growing city, the tap
water contains 80 of the 101 substances forbidden under the Chinese Law. Further
figures for water pollution — water quality is so poor in the Yangtze River that it is not
fit for use on farmland, despite this it is the drinking water for 1 in 12 people in the
world— show just how extreme the impacts of the major industrialisation in China are
on the environment. The removal of 85% of trees along the river has led to soil erosion
and dust storms and increasing carbon emissions has led to China becoming the largest
emitter of CO2 which has caused acid rain affecting 30% of China. Consequently, living
standards are extremely low in some areas of China with 70% of the lakes and rivers
polluted and 20% of its population living on less than $1 a day.
However, the growth of China’s economy has also brought many benefits to the people,
in particular through the investment of TNCs. In Wenzhou, the poor rural population
have greatly benefited from the economic growth and its development into a Export
Processing Zone. A large percentage of commodities such as cigarette lighters (70%) are
made in this city which has resulted in the increase in incomes, provision of compulsory
education and an 100% literary rate. These improvements lead to a better quality of life,
resulting from a higher employability level due to the improvements in education in
addition to higher wages and the positive multiplier effect occurring. Government
involvement to improve other areas of life in Wenzhou through its ‘1000 project’ saw
the development of 100km of roads, 1000kw power stations, coastal defences and farms
etc. which further benefits the population.
On the other hand, the involvement of TNCs regularly causes exploitation of industrial
workers with unfair wages and extremely low working conditions, and long working
hours. In Lishui, in the south west, although $8.8 billion has been invested in the
infrastructure, most of the workers work for below the minimum wage of 40 cents an
hour. However, the significant economic growth has caused the increase in China’s
politically power internationally— for example, in 2005 China was one of the five
countries included in the G8 (G8+5) ‘s annual meeting to contribute to the issues of
international trade and climate change. Moreover, awareness has been raised on human
rights issues in China through the increase in global power and identity.
In conclusion, I believe that while China’s growth has brought many significant benefits
to the population including employment and education, the industrialisation has had,
and continues to have, a drastic impact on the environment and living conditions in
China. This contributes to an increasing divide between the super rich who are
benefitting from the rapid growth, and those who are exploited and suffer under
shocking working and living conditions.
China has achieved rapid economic growth in the last 30 years, resulting partially from
the impacts of globalisation which have made China a key player in the manufacturing
industry, particularly through TNC outsourcing. However, these rapid developments
have both had positive effects and negative effects of the country and its people.
Urbanisation in China has led to the largest rural-to-urban migration ever, with 8.5
million moving into urbanised areas every single year. The has led to the growth in
numbers of highly populated cities of over 1 million inhabitants— millionaire cities— of
which China now has 90.
One of the areas significantly affected by these changes is the environment. In
Chongqing, located on the Yangtze River and the world’s fastest growing city, the tap
water contains 80 of the 101 substances forbidden under the Chinese Law. Further
figures for water pollution — water quality is so poor in the Yangtze River that it is not
fit for use on farmland, despite this it is the drinking water for 1 in 12 people in the
world— show just how extreme the impacts of the major industrialisation in China are
on the environment. The removal of 85% of trees along the river has led to soil erosion
and dust storms and increasing carbon emissions has led to China becoming the largest
emitter of CO2 which has caused acid rain affecting 30% of China. Consequently, living
standards are extremely low in some areas of China with 70% of the lakes and rivers
polluted and 20% of its population living on less than $1 a day.
However, the growth of China’s economy has also brought many benefits to the people,
in particular through the investment of TNCs. In Wenzhou, the poor rural population
have greatly benefited from the economic growth and its development into a Export
Processing Zone. A large percentage of commodities such as cigarette lighters (70%) are
made in this city which has resulted in the increase in incomes, provision of compulsory
education and an 100% literary rate. These improvements lead to a better quality of life,
resulting from a higher employability level due to the improvements in education in
addition to higher wages and the positive multiplier effect occurring. Government
involvement to improve other areas of life in Wenzhou through its ‘1000 project’ saw
the development of 100km of roads, 1000kw power stations, coastal defences and farms
etc. which further benefits the population.
On the other hand, the involvement of TNCs regularly causes exploitation of industrial
workers with unfair wages and extremely low working conditions, and long working
hours. In Lishui, in the south west, although $8.8 billion has been invested in the
infrastructure, most of the workers work for below the minimum wage of 40 cents an
hour. However, the significant economic growth has caused the increase in China’s
politically power internationally— for example, in 2005 China was one of the five
countries included in the G8 (G8+5) ‘s annual meeting to contribute to the issues of
international trade and climate change. Moreover, awareness has been raised on human
rights issues in China through the increase in global power and identity.
In conclusion, I believe that while China’s growth has brought many significant benefits
to the population including employment and education, the industrialisation has had,
and continues to have, a drastic impact on the environment and living conditions in
China. This contributes to an increasing divide between the super rich who are
benefitting from the rapid growth, and those who are exploited and suffer under
shocking working and living conditions.
